Been offered a company car....
#1
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Been offered a company car....
Anybody have any experience?
It would be something like an insignia, 3 series etc and would probably end up costing me around £50 per month.
Have been told that they will cover all servicing, mot, repairs, tax an insurance etc so it seems like a good deal on he face of it, but I have no experience with company cars.
Anybody offer any advice?
It would be something like an insignia, 3 series etc and would probably end up costing me around £50 per month.
Have been told that they will cover all servicing, mot, repairs, tax an insurance etc so it seems like a good deal on he face of it, but I have no experience with company cars.
Anybody offer any advice?
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Hi mate,
The company tends to pay all costs associated with running the car.
You will have to pay tax (benefit) on the vehicle, I would have thought it was more than £50 per month though.
You would then have to pay fuel tax on top if your company pays for your private mileage.
Here is a link to the HMRC car tax calculator:
http://cccfcalculator.hmrc.gov.uk/CCF0.aspx
Hope this helps a bit
The company tends to pay all costs associated with running the car.
You will have to pay tax (benefit) on the vehicle, I would have thought it was more than £50 per month though.
You would then have to pay fuel tax on top if your company pays for your private mileage.
Here is a link to the HMRC car tax calculator:
http://cccfcalculator.hmrc.gov.uk/CCF0.aspx
Hope this helps a bit
Last edited by al02uk; 04 January 2012 at 08:42 PM. Reason: added weblink
#3
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be carefull with the fuel contribution side of things . ours is about £59 for a insignia estate in benefit in kind tax loss . then its who pays for fuel . if its them and you pay £60quid flat rate a month as per our lot , remember £60 quid is 500miles . it starts to get expencive if you include the loss on tax allowance . 59 plus 60 is £120 quid for the sake of argument thats 1200miles a month 14400miles a year just to get your money back in private miles . my advice look it up on the net and do your homework , it all depends what you want from a car . and how much agro you are prepared to take having one
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Thanks for the info guys. From what I have been told they will want me to cover my own fuel so it should just be £50 odd a month in tax as its a company benefit? Which should cover the car and any costs to maintain it i.e. road tax etc. think try are willing to cover more than a normal company as they are classing it as part of an annual bonus for me that they have proposed.
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Company cars are usually covered all in (tax, insurance, servicing and tires etc) as allot are leased.
fuel is upon agreement, I imagine you would claim for business miles and pay your own private as this will cover you on the tax front.
£50 per month does sound a little cheap but I may be wrong.
I also think that depending on how much the bonus would have been and if you need a car to do your job normally it may be there way of a cheap bonus.
fuel is upon agreement, I imagine you would claim for business miles and pay your own private as this will cover you on the tax front.
£50 per month does sound a little cheap but I may be wrong.
I also think that depending on how much the bonus would have been and if you need a car to do your job normally it may be there way of a cheap bonus.
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Don't be misled by this annual bonus stuff.
Remember, you are responsible for your personal tax liability, including benefit in kind payments on a company car.
My sister and one of my mates found this out the hard way a few years ago when their employers gave them duff info!
Steve
Remember, you are responsible for your personal tax liability, including benefit in kind payments on a company car.
My sister and one of my mates found this out the hard way a few years ago when their employers gave them duff info!
Steve
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Don't forget car insurance. While the company is paying you will not accrue any NCD. If you leave in a couple of years, your private car insurance will be expensive. Do you want your wife etc. included on the insurance policy, some companies won't allow that. Are you happy with that vehicle? Do you have to lend it to others like a pool car? How long until the car gets replaced, sometimes 5 years, etc.
#10
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I recently changed jobs and had a company car, a 2010 Passat, which cost me about £80 a month in income tax. It was leased, so I didn't have to worry about road fund license, insurance, mot's, repairs, servicing, tyres, etc.
It was nice but as has been mentioned when I changed jobs, I had no NCB discount and my insurance went up because of it. I wish I'd insured a cheap banger and kept it on the drive now.
Now I get a car allowance and run my own car which for me, works out much better, although I have just spent £400 on repairs/servicing.
Is there an option of a car allowance?
It was nice but as has been mentioned when I changed jobs, I had no NCB discount and my insurance went up because of it. I wish I'd insured a cheap banger and kept it on the drive now.
Now I get a car allowance and run my own car which for me, works out much better, although I have just spent £400 on repairs/servicing.
Is there an option of a car allowance?
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Ok bit more info today.
Car would be either a skoda Octavia vrs or a Volvo r design deisel. Both would be around the £60 mark per month to me in income tax, and I would pay my own mileage etc. ( both cars are leased so no worries a about servicing etc) and are on 3 year terms.
They have said that it will cost them more to give me a car as a bonus than it would do to give me the cash, by around 1k per year.
By opting in, I can sell the scoob and clear some debt, and also save on insurance, tax, repairs etc for the 3 years, whichwill save me around 4k ( my scoob insurance is 1k a year alone)
What would you do? My wife has her own car, can I retain my no claims for 3 years for when I get a car after the lease has expired or will I have to forfeit them?
Car would be either a skoda Octavia vrs or a Volvo r design deisel. Both would be around the £60 mark per month to me in income tax, and I would pay my own mileage etc. ( both cars are leased so no worries a about servicing etc) and are on 3 year terms.
They have said that it will cost them more to give me a car as a bonus than it would do to give me the cash, by around 1k per year.
By opting in, I can sell the scoob and clear some debt, and also save on insurance, tax, repairs etc for the 3 years, whichwill save me around 4k ( my scoob insurance is 1k a year alone)
What would you do? My wife has her own car, can I retain my no claims for 3 years for when I get a car after the lease has expired or will I have to forfeit them?
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Swap your scooby for a Vrs oh yes
Having had a couple of both I would go for the speed and comfort of the VRS over a scooby now any day even though the scooby is a faster car.
Having had a couple of both I would go for the speed and comfort of the VRS over a scooby now any day even though the scooby is a faster car.
#15
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Work out whether it will be worth paying for tax/insurance to keep your 3 years NCB.
#16
Take a look at this thread and my post. It covers the maths you need to do to work out what is (financially) the best option.
https://www.scoobynet.com/showpost.p...22&postcount=4
https://www.scoobynet.com/showpost.p...22&postcount=4
Last edited by Flight; 05 January 2012 at 07:36 PM.
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